diff --git a/.github/skills/changelog-generation/SKILL.md b/.github/skills/changelog-generation/SKILL.md
index 0ce9ee32206..234d85a939d 100644
--- a/.github/skills/changelog-generation/SKILL.md
+++ b/.github/skills/changelog-generation/SKILL.md
@@ -50,7 +50,7 @@ Auto-detect scope from the current working directory:
 
 For version derivation rules, see [references/scope-rules.md](references/scope-rules.md) § Version Files.
 
-- **Core**: derive version from the existing unreleased header (strip `-beta.*` and `(Unreleased)`), use today's date. Update `cli/version.txt` and `cli/azd/pkg/azdext/version.go` (`Version` constant) to the released version.
+- **Core**: use the version specified in the triggering issue or user request if explicit (e.g., "Create changelog for 1.24.2"); otherwise derive from the existing unreleased header (strip `-beta.*` and `(Unreleased)`), use today's date. Update `cli/version.txt` and `cli/azd/pkg/azdext/version.go` (`Version` constant) to the released version.
 - **Extension**: ask the user for the new version number via `ask_user`. Update both `version.txt` and `extension.yaml` — they must match exactly.
 
 Present the version and date to the user for confirmation before writing any files.
diff --git a/.github/skills/changelog-generation/references/scope-rules.md b/.github/skills/changelog-generation/references/scope-rules.md
index cdaecd6c2bd..f4548486dc5 100644
--- a/.github/skills/changelog-generation/references/scope-rules.md
+++ b/.github/skills/changelog-generation/references/scope-rules.md
@@ -11,12 +11,13 @@ Files to update:
 - `.vscode/cspell-github-user-aliases.txt` — if spell check additions needed
 
 **Version derivation:**
-1. Find the top-most section in `cli/azd/CHANGELOG.md` (e.g., `## X.Y.Z-beta.N (Unreleased)`).
-2. Strip the `-beta.N` suffix and `(Unreleased)` marker.
-3. Format as: `## X.Y.Z (YYYY-MM-DD)` using **today's date** (the date the changelog is being authored/committed, not a future planned ship date).
-4. Set `cli/version.txt` to `X.Y.Z`.
-5. Set the `Version` constant in `cli/azd/pkg/azdext/version.go` to `X.Y.Z`.
-6. If no unreleased header is found in the changelog, ask the user for the release version number via `ask_user`.
+1. Check if the triggering issue or user request specifies an explicit version (e.g., "Create changelog for 1.24.2"). If yes, use that version — skip to step 4.
+2. Find the top-most section in `cli/azd/CHANGELOG.md` (e.g., `## X.Y.Z-beta.N (Unreleased)`).
+3. Strip the `-beta.N` suffix and `(Unreleased)` marker.
+4. Format as: `## X.Y.Z (YYYY-MM-DD)` using **today's date** (the date the changelog is being authored/committed, not a future planned ship date).
+5. Set `cli/version.txt` to `X.Y.Z`.
+6. Set the `Version` constant in `cli/azd/pkg/azdext/version.go` to `X.Y.Z`.
+7. If no version can be determined (no explicit version requested and no unreleased header found), ask the user for the release version number via `ask_user`.
 
 **Unreleased placeholder after release:**
 
diff --git a/cli/azd/CHANGELOG.md b/cli/azd/CHANGELOG.md
index d7188e38082..da5ecd15dff 100644
--- a/cli/azd/CHANGELOG.md
+++ b/cli/azd/CHANGELOG.md
@@ -10,6 +10,24 @@
 
 ### Other Changes
 
+## 1.24.2 (2026-04-24)
+
+### Features Added
+
+- [[#7482]](https://github.com/Azure/azure-dev/pull/7482) Add custom provisioning provider support to the extension framework; extension authors can register alternative infrastructure providers via `WithProvisioningProvider("name", factory)` on the `ExtensionHost`, and users set `infra: { provider: name }` in `azure.yaml` to use them.
+- [[#7841]](https://github.com/Azure/azure-dev/pull/7841) Improve `azd extension upgrade` with intelligent registry source resolution: extensions upgrade from their installed source by default, are auto-promoted from a dev registry to the main registry when a newer version is available there, and `--all` or `--no-prompt` batch upgrades proceed non-interactively without prompts.
+- [[#7825]](https://github.com/Azure/azure-dev/pull/7825) Standardize `--no-prompt` behavior to consistently fail with a structured error when required input (subscription, location, or resource group) cannot be resolved automatically, enabling reliable non-interactive use in CI pipelines and AI agents.
+
+### Bugs Fixed
+
+- [[#7797]](https://github.com/Azure/azure-dev/pull/7797) Fix error handling for `AADSTS530084` token protection errors to display clear guidance and documentation links instead of an opaque authentication failure message.
+- [[#7819]](https://github.com/Azure/azure-dev/pull/7819) Fix local Bicep preflight reserved-name check to skip ARM-allow-listed resource types (e.g., Private Link DNS zones, resource groups, role assignments) that accept reserved names server-side, and fix compound child resource names generating duplicate warnings.
+- [[#7723]](https://github.com/Azure/azure-dev/pull/7723) Fix service names containing spaces in `azure.yaml` generating invalid environment variable names (e.g., `SERVICE_API AND FRONTEND_IMAGE_NAME` → `SERVICE_API_AND_FRONTEND_IMAGE_NAME`). Thanks @spboyer for the contribution!
+
+### Other Changes
+
+- [[#7767]](https://github.com/Azure/azure-dev/pull/7767) Update the "update available" banner to a shorter, more actionable format that includes a link to release notes (stable channel) or recent changes (daily channel).
+
 ## 1.24.1 (2026-04-17)
 
 ### Features Added
diff --git a/cli/azd/pkg/azdext/version.go b/cli/azd/pkg/azdext/version.go
index d36ab3eba82..8ab9febf7cd 100644
--- a/cli/azd/pkg/azdext/version.go
+++ b/cli/azd/pkg/azdext/version.go
@@ -6,4 +6,4 @@ package azdext
 // Version is the semantic version of the azdext SDK package.
 // This value mirrors the CLI version in cli/version.txt and is
 // automatically updated by eng/scripts/Update-CliVersion.ps1.
-const Version = "1.25.0-beta.1"
+const Version = "1.24.2"
diff --git a/cli/version.txt b/cli/version.txt
index f1c6fcdbdeb..e4a973f913f 100644
--- a/cli/version.txt
+++ b/cli/version.txt
@@ -1 +1 @@
-1.25.0-beta.1
+1.24.2